EU policymakers who are serious about the possibility of a border tax adjustment tariff to penalise countries which do not care about climate change, should have a look at the recent report of the United States Council for International Business (USCIB). The study indicates that such measures can be justified before the World Trade Organisation.

Of course, the fact that it would legally be possible does not mean that it would be politically smart as it would without any doubt open the door to trade retaliations.